Tim Flynn: UBS's ($37 million) Auction-Rate Securities Man

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Most of the $37 million in investments for which UBS agreed to reimburse Massachusetts municipalities last week came from one small office within UBS known as the Flynn Financial Group, named for the group's head, 42 year old Timothy P. Flynn, the Boston Globe is reporting.
Flynn, who grew up in western Massachusetts, has built a business of advising small-town local New England governments on investments and cash-mangement.
"He is UBS in Massachusetts," one local treasurer tells the Globe.
With Flynn acting as an advisor, many local treasurers bought auction-rate securities. After the market for these securities went into deep-freeze, Massachusetts attorney general Martha Coakley argued that the investments were barred under state laws which require localities to invest cash only in the safest investments. Last week, as part of its settlement with the attorney general, UBS agreed that the investments were illegal.
Perhaps surprisingly, the local treasurers are defending the decision to investment in auction rate securities and Flynn's advice. Some even seem to have understood the market for auction rate securities well-enough to pull out before the auctions began to fail. Others, however, found that their cash was trapped in the suddenly illiquid securities. They may have been misled when UBS labeled the securities "cash management" products.
Tim Flynn couldn't be reached for comment.
Same broker tied investors to UBS [Boston Globe]

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